Scriptiegegevens

There is a large sample of literature on cultural distance, studying organizational and national culture using accounting- or market-based measures. This study uses national cultural dimensions to study the effect of these dimensions on an accounting based measure, ROA. Never has a study had the goal to find significant relationships between those cultural dimensions themselves. For obtaining the results, a dataset of 80 M&A deals was used. Positive significant statistics were found on cultural distance in both the masculinity index and the uncertainty avoidance index . Regarding the other indexes of cultural dimensions there were no significant effects. Cultural distance as one variable also had a positive effect on the ROA of the acquiring firm.